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Is it true that if an economy consumes all wage income and saves all capital income, the economy will reach Golden Rule level of capital when factors of production earn their marginal product? Why or why not?
Economics 714 Macroeconomic Theory Spring 2016 - Problem Set 2. Now suppose that there is full trade in goods and assets in every period. Find new expressions for the riskless interest rates (call these rift, for "free trade"). Do the interest rate..
An industry has five firms, each with a market share of 20 percent. There is no foreign competition, entry into the industry is difficult, and no firm is on the verge of bankruptcy. If two of the firms in the industry seek to merge, this action wo..
The following model is a simplified version of the multiple regression model used by Biddle and Hamermesh (1990) to study the tradeoff between time spent sleeping and working and to look at other factors affecting sleep: sleep =b0 + b1totwrk + b2e..
All Company in the industry have identical cost structures - the industry's total cost has fixed cost of 6000 and constant variable cost of 50.
Global Widgets Corp is a manufacturing company that builds standardized galvanized metal benches for sports arenas and stadiums-Do you think one of these firms would be more likely to benefit from a de-centralized decision making organizational arc..
Illustrate what do economist mean by this. How do they determine what the right amount of the good is.
In addition to the readings assigned for Module 4, identify and read three other articles on professional ethics and the concept of intellectual property.
In what ways have financial innovations affected the demand for money?
Suppose the market price is $5. The producer who sells the first unit of output has a willingness-to-sell equal to $1; the producer who sells the second unit of output has a willingness-to-sell equal to $2; and the producer who sells the third uni..
Elucidate the 2008 world financial crisis and the ongoing debt crisis in Europe using one of the three theoretical frameworks. realism, liberalism, and constructivism.
Economist Milton believes that expectations of inflation change quickly in response to new policies, whereas economist James believes that expectations are very sluggish. Which economist is more likely to favor the proposed change in monetary polic..
Suppose that Robinson Crusoe regards employment and goods as perfect substitutes on the demand side, and produces with a decreasing returns technology.
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